Midea Group Co. Ltd. is strengthening its market position in China through share gains in key product categories, investments in innovation, and expansion of direct-to-consumers channels. The China-based appliance retailer and exporter should generate solid EBITDA and free operating cash flow in 2025 despite relatively weak GDP growth in China and poor consumer sentiment. We have revised our outlook on Midea to positive from stable. At the same time, we affirmed our 'A' long-term issuer and issue-level credit ratings on the company. The positive outlook is based on our expectation that Midea will strengthen its market position and outperform in a tough market. Midea should be able to increase its net cash absent large acquisitions. Midea has been adept in
